Employment must be encouraged, says OECD
The future success of the Australian economy relies on a number of factors, with one of them being encouraging employment across a variety of sectors. The 2014 Economic Survey of Australia from the OECD explained that output is starting to suffer, which is largely the result of a downturn in the mining sector.
However, a number of areas where potential growth can be achieved have been highlighted by the group, with one of them being encouraging people into jobs. Welfare-to-work policies should be given greater priority, as this will expand the talent pool and give organisations more options when utilising recruitment software.
Another area the OECD believes should be given greater priority is higher education reforms. These will help ensure choice and quality of tertiary education is moved up the agenda and access to services is not jeopardised in any way.
Responding to the report, the Australian Chamber of Commerce and Industry (ACCI) said the country simply cannot afford to become complacent, especially if it is going to continue to thrive.
"Failure to maintain economic reform momentum will cost jobs and harm living standards," said John Osborn, the ACCI's Director of Economics and Industry Policy.
At present, the economy relies heavily on inbound investment and exposure to fluctuations in the global resources market. In light of this, the ACCI points out that spending must be limited, which should help put the budget back on an even keel sooner rather than later.
The OECD highlighted the need to promote competitiveness and productivity, which means having a greater focus on innovation. One of its suggestions is to build employee share schemes that invest in research and development, which will have far-reaching advantages for the economy as a whole.